Legislative Council, State of Michigan Courtesy of History: 1978, Act 368, Eff. Sept. 30, Popular name: Act 368

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1 PUBLIC HEALTH CODE (EXCERPT) Act 368 of 1978 PART 24 LOCAL HEALTH DEPARTMENTS Meanings of words and phrases; general definitions and principles of construction. Sec (1) For purposes of this part, the words and phrases defined in sections 2403 to 2408 have the meanings ascribed to them in those sections. (2) In addition, article 1 contains general definitions and principles of construction applicable to all articles in this code Definitions; A to D. Sec (1) Allowable service means a health service delivered in a city, county, district, or part thereof, which is not a required service but which the department determines is eligible for cost reimbursement pursuant to sections 2471 to (2) County includes a unified county unless otherwise specified. (3) District means a multi-county or city-county district served by a health department created under section Definitions; L. Sec Local governing entity means: (a) In case of a single county health department, the county board of commissioners. (b) In case of a district health department, the county boards of commissioners of the counties comprising the district. (c) In case of a district health department which includes a single city health department, the county boards of commissioners of the counties comprising the district and the mayor and city council of the city. (d) In case of a single city health department, the mayor and city council of the city. (e) In the case of a local health department serving a county within which a single city health department has been created pursuant to section 2422, the county board of commissioners elected from the districts served by the county health department Definitions; R to U. Sec (1) Required service means a local health service specifically required pursuant to this part or specifically required elsewhere in state law, except a service specifically excluded by this part or a rule promulgated pursuant to this part. (2) Unified county means a county having an optional unified form of county government under Act No. 139 of the Public Acts of 1973, as amended, being sections to of the Michigan Compiled Laws Division of powers and duties. Sec (1) Where the governing entity of a local health department includes a unified county, the powers and duties vested in the county board of commissioners and county executive in that county shall be divided in accordance with Act No. 139 of the Public Acts of 1973, as amended. (2) Where the local governing entity of a local health department includes a city, the powers and duties vested in the mayor and city council shall be divided as provided by law and the city charter County health department; county board of health. Sec Except if a district health department is created pursuant to section 2415, the local governing entity of a county shall provide for a county health department which meets the requirements of this part, and Rendered Friday, January 14, 2011 Page 1 Michigan Compiled Laws Complete Through PA 324, 327, 332,

2 may appoint a county board of health Creation of district health department; composition of district board of health. Sec Two or more counties or a city having a population of 750,000 or more and 1 or more counties, by a majority vote of each local governing entity and with approval of the department, may unite to create a district health department. The district board of health shall be composed of 2 members from each county board of commissioners or in case of a city-county district 2 members from each county board of commissioners and 2 representatives appointed by the mayor of the city. With the consent of the local governing entities affected, a county or city may have a greater number of representatives Claim against district health department; audit; allowance of claim; report; appeal; apportionment of allowed claims; formula; voucher. Sec A claim against a district health department shall be audited by the district board of health which has the same power to allow the claim that a local governing entity has as to claims against a county or city. If the district board of health meets less often than once a month, a claim may be allowed by the local health officer and 1 member of the district board of health who shall report the action to the board at its next regular meeting. The same right of appeal from the decision of the district board of health as to a claim exists as from a similar decision of a local governing entity. The total amount of the allowed claims shall be apportioned among the local governing entities of the district using a formula approved by the district health board. The formula determined by the district health board shall be approved by the state department of treasury. A voucher for an allowed claim shall be issued by the officers of each local governing entity for its apportioned share Employment of personnel; consolidation of functions. Sec Two or more local governing entities may contract for the employment of personnel or the consolidation of functions of their local health departments under a plan approved by the department City health department; creation; powers and duties. Sec A city having a population of 750,000 or more may create a city health department which shall be considered a local health department for purposes of this code, if the requirements of sections 2422 to 2424 are met. If a city creates a health department, that department and its local governing entity shall have the powers and duties of a local health department or local governing entity as provided by this part Selection of option by city; notice of intent. Sec Not later than 6 months after the effective date of this part, a city having a population of 750,000 or more shall select an option permitted under this section in a manner consistent with its charter and shall notify the department of the city's intent to do 1 of the following: (a) Create a city health department pursuant to a plan developed under section (b) Join with the county or district in which the city is located to create a district health department pursuant to section 2415 and a plan developed under section (c) Decline to exercise the options in subdivision (a) or (b), in which case the local health department otherwise having jurisdiction in the county in which the city is located, pursuant to a plan developed under section 2424, shall assume the powers and duties of a local health department in the city Selection of option by city; failure to notify department; continuing local financial support for affected services. Rendered Friday, January 14, 2011 Page 2 Michigan Compiled Laws Complete Through PA 324, 327, 332,

3 Sec Failure to notify the department under section 2422 is considered an exercise of the option in section 2422(c). Selection of the option in section 2422(a) or (b) does not preclude the selection of the option in section 2422(c) and the implementation of section 2424 at a later time. During the transition period, a city exercising the option in section 2422(c) shall continue local financial support for affected services at a level considered by the department to be consistent with support previously provided by the city, or with the requirements of the approved plan Selection of option by city; planning period; transition plan; responsibility for local cost of required services; approval of developed plan; disposition of federal funds. Sec (1) A city selecting an option under section 2422 has a planning period of: (a) One year after the selection of the option in section 2422(a). (b) Eighteen months after the selection of the option in section 2422(b) or (c). (2) During the planning period the affected local governing entities shall develop and adopt a plan setting forth the arrangements, agreements, and contracts necessary to establish a local health department pursuant to the exercised option and prescribing a timetable for the indicated transition. The transition plan shall provide that a city shall assume full financial liability for the local cost of services or programs provided by the city or transferred to the city by another local governing entity by virtue of the exercise of the option in section 2422(a). The plan shall include contracts providing that an employee transferred under the plan shall not lose any benefit or right as a result of the transfer. Upon completion of the transition period, a city exercising that option is solely responsible for the local cost of all required services under this part. (3) By the end of the planning period, the developed plan shall be submitted to the department for approval. If a plan is not submitted or approved, the department shall develop a transition plan during the 6 months after the end of the planning period and, upon completion, the plan shall be an approved plan under this section. (4) Subject to federal law and regulations, disposition of federal funds shall be made in accordance with the approved plan and option exercised Real and personal property of village or township board or department of health; title; use and administration. Sec The title to real and personal property of a village or township board or department of health, including cemetery and trust property, shall vest in the village or township and be held in its name as of the effective date of the repeal by this code of provisions authorizing the creation of boards or departments of health. The property shall be used and administered by the village or township, or appropriate agency thereof, as provided by law Local health officer; appointment; qualifications; powers and duties. Sec (1) A local health department shall have a full-time local health officer appointed by the local governing entity or in case of a district health department by the district board of health. The local health officer shall possess professional qualifications for administration of a local health department as prescribed by the department. (2) The local health officer shall act as the administrative officer of the board of health and local health department and may take actions and make determinations necessary or appropriate to carry out the local health department's functions under this part or functions delegated under this part and to protect the public health and prevent disease Local health department; requirements; report; reviewing plan for organization of local health department; waiver. Sec (1) A local health department shall: (a) Have a plan of organization approved by the department. (b) Demonstrate ability to provide required services. Rendered Friday, January 14, 2011 Page 3 Michigan Compiled Laws Complete Through PA 324, 327, 332,

4 (c) Demonstrate ability to defend and indemnify employees for civil liability sustained in the performance of official duties except for wanton and wilful misconduct. (d) Meet the other requirements of this part. (2) Each local health department shall report to the department at least annually on its activities, including information required by the department. (3) In reviewing a plan for organization of a local health department, the department shall consider the fiscal capacity and public health effort of the applicant and shall encourage boundaries consistent with those of planning agencies established pursuant to federal law. (4) The department may waive a requirement of this section during the option period specified in section 2422 based on acceptable plan development during the planning period described in section 2424 and thereafter based on acceptable progress toward implementation of the plan as determined by the department. History: 1978, Act 368, Eff. Sept. 30, 1978; Am. 1985, Act 18, Imd. Eff. May 16, Local health department; powers and duties generally. Sec (1) A local health department shall continually and diligently endeavor to prevent disease, prolong life, and promote the public health through organized programs, including prevention and control of environmental health hazards; prevention and control of diseases; prevention and control of health problems of particularly vulnerable population groups; development of health care facilities and health services delivery systems; and regulation of health care facilities and health services delivery systems to the extent provided by law. (2) A local health department shall: (a) Implement and enforce laws for which responsibility is vested in the local health department. (b) Utilize vital and health statistics and provide for epidemiological and other research studies for the purpose of protecting the public health. (c) Make investigations and inquiries as to: (i) The causes of disease and especially of epidemics. (ii) The causes of morbidity and mortality. (iii) The causes, prevention, and control of environmental health hazards, nuisances, and sources of illness. (d) Plan, implement, and evaluate health education through the provision of expert technical assistance, or financial support, or both. (e) Provide or demonstrate the provision of required services as set forth in section 2473(2). (f) Have powers necessary or appropriate to perform the duties and exercise the powers given by law to the local health officer and which are not otherwise prohibited by law. (g) Plan, implement, and evaluate nutrition services by provision of expert technical assistance or financial support, or both. (3) This section does not limit the powers or duties of a local health officer otherwise vested by law Local health department; additional powers. Sec A local health department may: (a) Engage in research programs and staff professional training programs. (b) Advise other local agencies and persons as to the location, drainage, water supply, disposal of solid waste, heating, and ventilation of buildings. (c) Enter into an agreement, contract, or arrangement with a governmental entity or other person necessary or appropriate to assist the local health department in carrying out its duties and functions unless otherwise prohibited by law. (d) Adopt regulations to properly safeguard the public health and to prevent the spread of diseases and sources of contamination. (e) Accept gifts, grants, bequests, and other donations for use in performing the local health department's functions. Funds or property accepted shall be used as directed by its donor and in accordance with the law, rules, and procedures of this state and the local governing entity. (f) Sell and convey real estate owned by the local health department. (g) Provide services not inconsistent with this code. (h) Participate in the cost reimbursement program set forth in sections 2471 to (i) Perform a delegated function unless otherwise prohibited by law. Rendered Friday, January 14, 2011 Page 4 Michigan Compiled Laws Complete Through PA 324, 327, 332,

5 Exercise by department of public health of power vested in local health department. Sec The department, in addition to any other power vested in it by law, may exercise any power vested in a local health department in an area where the local health department does not meet the requirements of this part Adoption of regulations; purpose; approval; effective date; stringency; conflicting regulations. Sec A local health department may adopt regulations necessary or appropriate to implement or carry out the duties or functions vested by law in the local health department. The regulations shall be approved or disapproved by the local governing entity. The regulations shall become effective 45 days after approval by the local health department's governing entity or at a time specified by the local health department's governing entity. The regulations shall be at least as stringent as the standard established by state law applicable to the same or similar subject matter. Regulations of a local health department supersede inconsistent or conflicting local ordinances.. History: 1978, Act 368, Eff. Sept. 30, 1978; Am. 1986, Act 76, Imd. Eff. Apr. 7, 1986; Am. 2010, Act 72, Imd. Eff. May 13, Adoption of regulation; notice of public hearing. Sec Before adoption of a regulation the local health department shall give notice of a public hearing and offer any person an opportunity to present data, views, and arguments. The notice shall be given not less than 10 days before the public hearing and not less than 20 days before adoption of the regulation. The notice shall include the time and place of the public hearing and a statement of the terms or substance of the proposed regulation or a description of the subjects and issues involved and the proposed effective date of the regulation. The notice shall be published in a manner calculated to give notice to persons likely to be affected by the proposed regulation. Methods which may be employed, depending on the circumstances, include publication of the notice in a newspaper of general circulation in the jurisdiction, or when appropriate, in a trade, industry, governmental, or professional publication Violation of regulation or order; misdemeanor; penalty. Sec Except as otherwise provided in this act, a person who violates a regulation of a local health department or order of a local health officer under this act is guilty of a misdemeanor punishable by imprisonment for not more than 6 months or a fine of not more than $200.00, or both. History: Add. 2010, Act 72, Imd. Eff. May 13, Fees for services; expenses and compensation. Sec (1) A local governing entity, or in case of a district the district board of health, may fix and require the payment of fees for services authorized or required to be performed by the local health department. The local governing entity or district board may revoke, increase, or amend the fees. The fees charged shall not be more than the reasonable cost of performing the service. (2) Members of a local board of health may receive necessary traveling expenses for attending meetings and may receive compensation as determined by the local governing entity for each meeting attended Inspection or investigation. Sec To assure compliance with laws enforced by a local health department, the local health department may inspect, investigate, or authorize an inspection or investigation to be made of, any matter, thing, premise, place, person, record, vehicle, incident, or event. Sections 2241 to 2247 apply to an inspection or investigation made under this section. Rendered Friday, January 14, 2011 Page 5 Michigan Compiled Laws Complete Through PA 324, 327, 332,

6 Intergovernmental contracts; existing contracts not affected. Sec (1) A city, county, district, or part thereof may enter into an intergovernmental contract necessary or appropriate to a reorganization or an assumption or relinquishing of a health jurisdiction or function authorized by this part. The contract shall provide that an employee transferred shall not lose any benefit or right as a result of the transfer. (2) This section does not affect existing contracts between cities and counties for the provision of health services Imminent danger to health or lives; informing individuals affected; order; noncompliance; petition to restrain condition or practice; imminent danger and person defined. Sec (1) Upon a determination that an imminent danger to the health or lives of individuals exists in the area served by the local health department, the local health officer immediately shall inform the individuals affected by the imminent danger and issue an order which shall be delivered to a person authorized to avoid, correct, or remove the imminent danger or be posted at or near the imminent danger. The order shall incorporate the findings of the local health department and require immediate action necessary to avoid, correct, or remove the imminent danger. The order may specify action to be taken or prohibit the presence of individuals in locations or under conditions where the imminent danger exists, except individuals whose presence is necessary to avoid, correct, or remove the imminent danger. (2) Upon the failure of a person to comply promptly with an order issued under this section, the local health department may petition a circuit or district court having jurisdiction to restrain a condition or practice which the local health officer determines causes the imminent danger or to require action to avoid, correct, or remove the imminent danger. (3) As used in this section: (a) Imminent danger means a condition or practice which could reasonably be expected to cause death, disease, or serious physical harm immediately or before the imminence of the danger can be eliminated through enforcement procedures otherwise provided. (b) Person means a person as defined in section 1106 or a governmental entity Epidemic; emergency order and procedures; involuntary detention and treatment. Sec (1) If a local health officer determines that control of an epidemic is necessary to protect the public health, the local health officer may issue an emergency order to prohibit the gathering of people for any purpose and may establish procedures to be followed by persons, including a local governmental entity, during the epidemic to insure continuation of essential public health services and enforcement of health laws. Emergency procedures shall not be limited to this code. (2) A local health department or the department may provide for the involuntary detention and treatment of individuals with hazardous communicable disease in the manner prescribed in sections 5201 to Building or condition violating health laws or constituting nuisance, unsanitary condition, or cause of illness; order; noncompliance; warrant; assessment and collection of expenses; liability; judicial order; other powers not affected. Sec (1) A local health department or the department may issue an order to avoid, correct, or remove, at the owner's expense, a building or condition which violates health laws or which the local health officer or director reasonably believes to be a nuisance, unsanitary condition, or cause of illness. (2) If the owner or occupant does not comply with the order, the local health department or department may cause the violation, nuisance, unsanitary condition, or cause of illness to be removed and may seek a warrant for this purpose. The owner of the premises shall pay the expenses incurred. (3) If the owner of the premises refuses on demand to pay expenses incurred, the sums paid shall be assessed against the property and shall be collected and treated in the same manner as taxes assessed under Rendered Friday, January 14, 2011 Page 6 Michigan Compiled Laws Complete Through PA 324, 327, 332,

7 the general laws of this state. An occupant or other person who caused or permitted the violation, nuisance, unsanitary condition, or cause of illness to exist is liable to the owner of the premises for the amount paid by the owner or assessed against the property which amount shall be recoverable in an action. (4) A court, upon a finding that a violation or nuisance may be injurious to the public health, may order the removal, abatement, or destruction of the violation or nuisance at the expense of the defendant, under the direction of the local health department where the violation or nuisance is found. The form of the warrant to the sheriff or other law enforcement officer may be varied accordingly. (5) This section does not affect powers otherwise granted to local governments Establishment of cemetery; requirements; determinations; approval; disposition of plats; vacating cemetery; removal and reinterment of bodies and remains. Sec (1) A person or governmental entity shall not establish a cemetery in this state until a description of the premises and a plat showing the cemetery's division is filed in duplicate with the local health department having jurisdiction of the premises. A local health department shall not approve a proposed cemetery if the local health department determines that establishment or operation of the cemetery would be injurious to the public health. The local health department shall determine whether it is safe and healthful for a cemetery to be established in the proposed location and if the local health department approves the location and the plat of the premises, the local health department shall indorse its approval on both plats. When the establishment of a cemetery is approved, 1 plat shall be returned to the proprietor and the other shall be retained and preserved by the local health department. (2) The local health department shall supervise activities to vacate a cemetery and the removal and reinterment of bodies and remains Violation; schedule of monetary civil penalties; issuance, contents, and delivery of citation. Sec (1) In the manner prescribed in sections 2441 and 2442 a local governing entity may adopt a schedule of monetary civil penalties of not more than $1, for each violation or day that the violation continues which may be assessed for a specified violation of this code or a rule promulgated, regulation adopted, or order issued which the local health department has the authority and duty to enforce. (2) If a local health department representative believes that a person has violated this code or a rule promulgated, regulation adopted, or order issued under this code which the local health department has the authority and duty to enforce, the representative may issue a citation at that time or not later than 90 days after discovery of the alleged violation. The citation shall be written and shall state with particularity the nature of the violation, including reference to the section, rule, order, or regulation alleged to have been violated, the civil penalty established for the violation, if any, and the right to appeal the citation pursuant to section The citation shall be delivered or sent by registered mail to the alleged violator Citation; petition for administrative hearing; decision of local health officer; review; petition for judicial review; civil penalty. Sec (1) Not later than 20 days after receipt of the citation, the alleged violator may petition the local health department for an administrative hearing which shall be held within 30 days after the receipt of the petition. After the administrative hearing, the local health officer may affirm, dismiss, or modify the citation. The decision of the local health officer shall be final, unless within 60 days of the decision the appropriate local governing entity or committee thereof, or in the case of a district department, the district board of health or committee thereof, grants review of the citation. After the review, the local governing entity, board of health, or committee thereof may affirm, dismiss, or modify the citation. (2) A person aggrieved by a decision of a local health officer, local governing entity, or board of health under this section may petition the circuit court of the county in which the principal office of the local health department is located for review. The petition shall be filed not later than 60 days following receipt of the final decision. (3) A civil penalty becomes final if a petition for an administrative hearing or review is not received within the time specified in this section. A civil penalty imposed under this part is payable to the appropriate local Rendered Friday, January 14, 2011 Page 7 Michigan Compiled Laws Complete Through PA 324, 327, 332,

8 health department for deposit with the general funds of the local governing entity, or in case of a district, the funds shall be divided according to the formula used to divide other district funds. A civil penalty may be recovered in a civil action brought in the county in which the violation occurred or the defendant resides Appearance tickets. Sec In the manner prescribed in sections 2441 and 2442 a local governing entity may designate representatives of the local health department as public servants authorized by law to issue and serve appearance tickets pursuant to sections 9a to 9g of chapter 4 of Act No. 175 of the Public Acts of 1927, as amended, being sections 764.9a to 764.9g of the Michigan Compiled Laws Injunctive action; liability for damages. Sec (1) Notwithstanding the existence and pursuit of any other remedy, a local health officer, without posting bond, may maintain injunctive action to restrain, prevent, or correct a violation of a law, rule, or order which the officer has the duty to enforce, or to restrain, prevent, or correct an activity or condition which the officer believes adversely affects the public health. (2) A local health officer or an employee or representative of a local health department is not personally liable for damages sustained in the performance of local health department functions, except for wanton and wilful misconduct Program; establishment; objectives. Sec The department shall establish a program pursuant to sections 2471 to 2498 with the following objectives: (a) To prescribe responsibilities of state and local governments for local health services. (b) To assure the availability, accessibility, and acceptability of required health services for the people of this state. (c) To establish the basis for equitable state reimbursement of expenditures to support local health services. (d) To assure that state reimbursement for reasonable and allowable costs for required and allowable local health services shall be provided at the level necessary to assure maintenance of the services on an equitable basis for the people of this state Services eligible for cost sharing; criteria and procedures for additional services; minimum standards for delivery of services. Sec (1) Services which a local health department is required to provide under the program plan described in part 23 are eligible for cost sharing under this part. (2) The department shall prescribe criteria and procedures for designating additional services proposed by a local health department as allowable services. (3) The department shall establish minimum standards of scope, quality, and administration for the delivery of required and allowable services not inconsistent with sections 2471 to Specific objectives of required services; demonstrating provision of service; contracts. Sec (1) Required services designated pursuant to part 23 shall be directed at the following specific objectives: (a) Prevention and control of environmental health hazards. (b) Prevention and control of diseases. (c) Prevention and control of health problems of particularly vulnerable population groups. (d) Development of health care facilities and agencies and health services delivery systems. (e) Regulation of health care facilities and agencies and health services delivery systems to the extent Rendered Friday, January 14, 2011 Page 8 Michigan Compiled Laws Complete Through PA 324, 327, 332,

9 provided by state law. (2) A local health department and its local governing entity shall provide or demonstrate the provision of each required service which the local health department is designated to provide. (3) The department may enter into contracts necessary or appropriate to carry out this section Reimbursement for costs of services; equitable distribution; schedule; local expenditure in excess of prior appropriation. Sec (1) The department shall reimburse local governing entities for the reasonable and allowable costs of required and allowable health services delivered by the local governing entity as provided by this section. Subject to the availability of funds actually appropriated reimbursements shall be made in a manner to provide equitable distribution among the local governing entities and pursuant to the following schedule beginning in the second state fiscal year beginning on or after the effective date of this part: (a) First year, 20%. (b) Second year, 30%. (c) Third year, 40%. (d) Fourth year and thereafter, 50%. (2) Until the 50% level is reached, a local governing entity is not required to provide for required services if the local expenditure necessary to provide the services is greater than those funds appropriated and expended in the full state fiscal year immediately before the effective date of this part Reimbursement of certain expenditures prohibited. Sec The following expenditures shall not be reimbursed under sections 2471 to 2498: (a) Expenditures for required and allowable services to the extent the expenditures are reimbursed from another source such as fees for services or another state or federal program. (b) Direct capital expenditures for facilities. (c) Expenditures used to match other state funds. (d) Expenditures for other services specifically excluded in rules promulgated by the department. (e) Federal and state categorical health program funds Local governing entity not to receive less than received under prior provisions; providing, designating, and reallocating funds; accountability. Sec (1) A local governing entity shall not receive less in any year under sections 2471 to 2498 than it received under Act No. 306 of the Public Acts of 1927, as amended, being sections to a of the Michigan Compiled Laws, in the full state fiscal year immediately before the effective date of this part. (2) Funds under this part shall be provided to the local governing entity which shall be accountable for substantial conformance with agreements and standards as provided by section The funds shall be designated for the local health department but may be reallocated through the local health department if services are rendered by other local agencies Criteria for determining costs for services. Sec Not later than 1 year after the effective date of this section, the department shall prescribe criteria for determining the reasonable and allowable costs for required and allowable services Condition for approval of funding. Sec As a condition for the approval of funding for a service under sections 2471 to 2498, a local health department shall: (a) Provide the required health services which the local health department is designated to provide in substantial accord with the program plan developed under part 23 and rules promulgated under section 2495, Rendered Friday, January 14, 2011 Page 9 Michigan Compiled Laws Complete Through PA 324, 327, 332,

10 including standards as to the scope and quality of services. (b) Report its performance and fiscal matters in a form and containing information the department reasonably requires to implement sections 2471 to (c) Keep records and afford access to the records by authorized state, federal, and local officials for audit and review purposes necessary to verify and assure the accuracy and acceptability of the reports Minimum expenditure for health services; waiving maintenance of local funding; certain services considered health services. Sec (1) The total local appropriations for a local health department expended for health services shall be not less in any year than in the local health department's full fiscal year immediately before the effective date of this part. However, the department may waive maintenance of local funding in extraordinary circumstances. (2) For purposes of this section, services for which funds under Act No. 306 of the Public Acts of 1927, as amended, were being used on the effective date of this part are considered health services Conditions for reimbursement. Sec A local health department desiring reimbursement under sections 2471 to 2498 shall: (a) Submit annually to the department a program statement approved by the local governing entity defining the status of the current required and allowable services the local health department provides. After review and approval by the department, the program statement shall serve as a basis of determining priorities for local development with appropriate state policy and technical assistance. (b) Submit annually to the department the budget approved by the local governing entity. The budget shall reflect the program statement and include the required services which the local health department provides, other health services proposed for state reimbursement as allowable services, and services proposed for full local or categorical state or federal funding. After review, the department shall determine the services eligible as allowable services for state reimbursement. Determinations regarding proposed allowable services shall be made annually for each local health department Agreement implementing standards; basis for reimbursement; operating advance; adjustments. Sec (1) Standards of scope, quality, and administration promulgated under section 2495 shall be implemented through an agreement between the department and the local governing entity. An agreement under this subsection shall specify at least the minimum activities agreed upon as necessary for substantial compliance with rules and shall be based upon findings in the annual program statement of the local health department. (2) A local health department shall be reimbursed on the basis of approved program performance reports as required by this section and sections 2481 and 2483 and on the basis of prescribed fiscal reports reflecting actual, reasonable, and allowable costs incurred pursuant to rules promulgated under section An operating advance may be provided which shall be replenished as the costs are reported. Adjustments shall be made as necessary to compensate for payments previously made Notice of appeal; informal conference; reaffirming, modifying, or revoking decision; hearing; petition for redress. Sec (1) Upon receipt of a notice from a local health department that the local health department wishes to appeal a department decision relative to the implementation of sections 2471 to 2498, the department shall schedule an informal conference to be attended by representatives of the jurisdiction affected by the decision and representatives of the department. After the conference the department may reaffirm, modify, or revoke its decision. (2) Upon request, a local health department adversely affected by a decision of the department as to service eligibility, development priorities, allowable services, minimum activities necessary for substantial Rendered Friday, January 14, 2011 Page 10 Michigan Compiled Laws Complete Through PA 324, 327, 332,

11 compliance, a decision under section 2235, or the level of reasonable and allowable costs shall be granted a hearing. The local governing entity may pursue further appeal by petition to the appropriate circuit court for redress Appropriation request to include funds for reimbursement of local health departments; basis of sums requested. Sec A separate part of the department's annual health appropriation request shall include funds to reimburse local health departments for expenditures incurred to establish and maintain required and allowable health services. The sums requested shall be based on reasonable and allowable costs for required and allowable services at projected levels for the next fiscal period and shall be used for reimbursing local health departments which have complied with sections 2471 to Administration of MCL to Sec Sections 2471 to 2498 shall be administered in a manner consistent with the requirements of federal law Status report; appropriation for development and implementation of evaluation and related training. Sec (1) At the end of the second full state fiscal year after the effective date of this part, the department shall report to the governor and legislature as to the status of required and allowable health services in relation to standards, costs, and health needs of the people of this state. (2) An amount equal to 1% of the estimated total expenditures for the required and allowable local health services shall be appropriated to the department annually for the development and implementation of evaluation and related training for local health departments and department staffs in the delivery of the required and allowable health services authorized under sections 2471 to Rules; determinations; review and comment. Sec (1) The department shall promulgate rules and may make determinations necessary or appropriate to implement this part, consistent with this code, including the establishment of minimum standards for health officers, development plans, the designation of allowable services, and the quality, delivery, and reasonable costs for required and allowable services. (2) Not less than 30 days before promulgation of a rule establishing minimum standards for the quality, delivery, or reasonable costs for required and allowable services, the department shall request the Michigan association of counties, the Michigan health officers association, the Michigan association of local environmental health administrators, and the Michigan association of local public health administrators to review and comment on the rule. This subsection does not limit review and comment by additional governmental and professional organizations or by other persons. Administrative rules: R et seq. and R et seq. of the Michigan Administrative Code Administrative compliance order. Sec Upon a finding that a local health department is not able to provide or to demonstrate the adequate provision of 1 or more of the required services, or fails to meet the requirements of this part or the rules promulgated under this part, the department may issue an administrative compliance order to the local health department's local governing entity. The order shall state the nature of the deficiencies and set forth a reasonable time by which the deficiencies shall be corrected. Rendered Friday, January 14, 2011 Page 11 Michigan Compiled Laws Complete Through PA 324, 327, 332,

12 Petition for administrative hearing; finality of order or compliance date; reaffirming, modifying, or revoking order; modifying time for compliance; petition for writ of mandamus. Sec (1) Within 60 working days after receipt of an administrative compliance order and proposed compliance period, a local governing entity may petition the department for an administrative hearing. If the local governing entity does not petition the department for a hearing within 60 days after the receipt of an administrative compliance order, the order and proposed compliance date shall be final. (2) After a hearing, the department may reaffirm, modify, or revoke the order or modify the time permitted for compliance. (3) If the local governing entity fails to correct a deficiency for which a final order has been issued within the period permitted for compliance, the department may petition the appropriate circuit court for a writ of mandamus to compel correction. Rendered Friday, January 14, 2011 Page 12 Michigan Compiled Laws Complete Through PA 324, 327, 332,

PUBLIC HEALTH CODE (EXCERPT)

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